With Bitcoin reaching its peak year this year, many players around the cryptocurrency is gaining big. As well as Bitmain. The crypto mining giant is planning on going public in the US. After it failed on entering Hongkong IPO earlier this year.
Reportedly, the company is consulting with some advisers over a US public listing, said Bloomberg. It plans on submitting the documents in July, and hopefully be on the list by the end of 2019.
Bitmain has a potential of rising $300-$500 million for the US offering.Though it is much less than it’s previous goal of $3 billion for the HKEX share offering.
South China Morning post has once stated that Hongkong’s stock exchange and regulators considered cryptocurrency companies as “premature” for the IPO. And it caused Bitmain’s listing application lapsed last March.
But Bitmain is not the only one. Many Hongkong-based cryptocurrency companies are dropping their plans on entering the country’s IPO. And switch to the US instead. The companies include Canaan Inc. and Ebang International Holdings Inc., the later got refused twice in Hongkong IPO.
A brief on Bitmain
Established in 2013, Bitmain is now the world’s largest designer for bitcoin mining hardware. The company designs application-specific integrated circuit or ASIC chips for the bitcoin mining. The Hongkong-based company is operating two of the largest bitcoin mining pool of the world. It has BTC.com and Antpool.
The company first reported itself as profitable by 2018. It reported a $1.1 billion profit by the first quarter of 2018. But then it admitted to a $500 million loss by the third quarter due to its IPO financial filing.
Not only that, with the Bitcoin Cash split in 2018, the company has to side with Bitcoin Cash ABC. In December, it had to make the harsh decision of letting go around 1,500 of their staff. It was also forced to close down its offices in Israel and the Netherlands.
Many in the cryptocurrency world stated that an IPO is too early seeing the company’s current state.
